American Airlines Discounts AAnytime Awards to Japan, South Korea, China, Hong Kong

Jul 31, 2019

This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.

Although it will soon be the last legacy airline with an award chart, American Airlines is inching closer to dynamic award pricing through married-segment award availability and discount programs.

For example, while it was originally launched as a “discount” program, AA has effectively used Economy Web Specials to transition its domestic economy awards to a completely dynamic pricing scheme.

Then in May 2019, AA launched an AAnytime business class award sale to Europe. Rather than opening up MileSAAver availability at 57,500 miles each way or charging a hefty 110,000 miles for AAnytime Level 1 awards, AA offered business class awards for 85,000 miles each way.

Now, American Airlines is back with another one of these quasi-dynamic award pricing schemes that it’s framing as a mileage sale. Through August 12, American Airlines has discounted economy, premium economy and business class AAnytime awards between the continental US and Asia — including both Asia Region 1 (Japan, South Korea) and Asia Region 2 (China, Hong Kong) — for flights into December 2019.

Although this sale isn’t being advertised, I was able to piece together the following pricing breakdown from award searches and confirm these rates with an American Airlines spokesperson:

Continental US-Japan/Korea Economy Premium
Economy
Business
Class
Discounted Rate (one-way) 47,500 57,500 82,500
AAnytime Level 1 62,500 80,000 120,000
Discount off AAnytime Level 1 24% 28% 31%

Continental US-China/Hong Kong Economy Premium
Economy
Business
Class
Discounted Rate (one-way) 47,500 67,500 87,500
AAnytime Level 1 65,000 85,000 140,000
Discount off AAnytime Level 1 27% 21% 38%

Unfortunately, this discount only applies to when American Airlines has coded an award option as AAnytime Level 1. There’s still plenty of days where the award rates are much higher, as we can see on AA’s nonstop route between Los Angeles and Hong Kong:

While these discounts may sound appealing, it’s important to put this in context. At current TPG valuations, 47,500 miles are valued at $665 each way — or $1,330 worth of points for round-trip. That’s substantially higher than some of the recent deals we’ve seen recently, even before you factor in the taxes/fees on the award.

Premium economy awards start at 57,500 miles each way. That’s around $805 of value for the one-way award before adding taxes/fees. Just a few days ago, there were premium economy round-trip flights to Asia starting at $805 round-trip — and you’ll earn miles on these flights.

Considering how hard it is to find MileSAAver awards in business class on AA, the discount on AAnytime business class awards is going to like be the most useful. Standard AAnytime rates of 120,000 miles (US-Asia 1) and 140,000 miles (US-Asia 2) each way are excessive, and the discounted rates of 82,500 miles and 87,500 miles are a lot more reasonable.

However, this relative reasonableness has a downside. If AA’s only choice besides releasing MileSAAver awards at 60,000 are AAnytime awards at 120,000, it’s not going to sell that many AAnytime awards and will need to resort to releasing saver availability eventually to fill the cabin. Now, by offering awards at an intermediate rate, it may sell enough business class awards that it doesn’t need to release saver award availability.

Featured image by JT Genter / TPG

Chase Sapphire Preferred® Card

WELCOME OFFER: 60,000 Points

TPG'S BONUS VALUATION*: $1,200

CARD HIGHLIGHTS: 2X points on all travel and dining, points transferrable to over a dozen travel partners

*Bonus value is an estimated value calculated by TPG and not the card issuer. View our latest valuations here.

Apply Now
More Things to Know
  • Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Ultimate Rewards®. Plus earn up to $50 in statement credits towards grocery store purchases.
  • 2X points on dining at restaurants including eligible delivery services, takeout and dining out and travel & 1 point per dollar spent on all other purchases.
  • Get 25% more value when you redeem for travel through Chase Ultimate Rewards®. For example, 60,000 points are worth $750 toward travel.
  • With Pay Yourself Back℠, your points are worth 25% more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories.
  • Get unlimited deliveries with a $0 delivery fee and reduced service fees on eligible orders over $12 for a minimum of one year with DashPass, DoorDash's subscription service. Activate by 12/31/21.
  • Earn 2x total points on up to $1,000 in grocery store purchases per month from November 1, 2020 to April 30, 2021. Includes eligible pick-up and delivery services.
Regular APR
15.99%-22.99% Variable
Annual Fee
$95
Balance Transfer Fee
Either $5 or 5% of the amount of each transfer, whichever is greater.
Recommended Credit
Excellent/Good

Editorial Disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.